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Your firm is considering an installment loan of $100,000 for a new packaging machine. The loan specifies repayment in 5 equal annual payments (installments). How
Your firm is considering an installment loan of $100,000 for a new packaging machine. The loan specifies repayment in 5 equal annual payments (installments). How much would each payment be if the rate on the loan is 10% per year. Now, suppose the loan requires monthly installments. How much would be payable each month? (Answer using time value of money formulas, no excel)
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